Sprinkler Damage Insurance

Definition - What does Sprinkler Damage Insurance mean?

Sprinkler damage insurance is a type of insurance coverage that covers losses that are incurred as the result of sprinklers leaking or accidentally being turned on. Water damage from sprinklers can be very costly. It can destroy furniture, computers, machinery, and lead to mold growth. For this reason, sprinkler damage coverage is a common feature of property insurance policies.

Insuranceopedia explains Sprinkler Damage Insurance

Sprinkler damage insurance typically won't cover any losses incurred as a result of sprinklers being used properly to put out a fire. Many buildings contain sprinkler systems because the damage from any potential fires is perceived as much greater than the risk of sprinkler damage. Sprinklers can prevent fires from destroying buildings. However they are not without their own risks so sprinkler damage coverage is still prudent.